BMI View: Continuing steady growth in compulsory medical expenses insurance (CMEI) will underpin the rise in premiums in the non-life segment, while life premiums will rise rapidly from a very low base. Recent regulatory changes will boost motor insurance premiums. However, the changes will also boost claims - at a time that profitability is at the lowest level for six years.

As of late 2014, the latest developments in Russia's insurance sector confirm our expectation that non-life premiums will sustain steady mid-single digit growth through the forecast period. By contrast, we think that life premiums can rise by around 15-20% annually for much of the forecast period, as organised savings develops from a very low base.